In the above figure, if this natural monopolist were regulated and allowed to earn a "fair" rate of return, it would produce
A) at Q1 output rate.
B) at Q2 output rate.
C) at Q3 output rate.
D) past the Q3 output rate.
B
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Refer to the table above. Laborland's net exports equal ________
A) -$20 billion B) $25 billion C) -$18 billion D) $18 billion
Country A has a lower stock of capital than Country B, but the supply of labor in both the countries is equal
A) An additional unit of capital will increase output in Country A only if there is an increase in the total efficiency units of labor. B) The increase in output due an additional unit of capital will be larger in Country A than in Country B. C) The increase in output due an additional unit of capital will be smaller in Country A than in Country B. D) An additional unit of capital will increase output in Country B only if there is an increase in the total efficiency units of labor.